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HomeMy WebLinkAbout1998-03-16 Finance Committee MinutesFurnace Committee Meeting 3-16-98-98 Councilors Attending: Jim Tyler, David Leen, Joe Baldacci Staff Attending: Edward Barter, Norm Barnstorm, Erik Stumpfel, Pat Blanchette, Dave Pellegrino, Gad Campbell, Dale Therioult, Bob Zielgehux, Dave Little, Brian Brwan Others Attending: Roxanne Saucier, Mr. Dusik Meeting convened m 5:03 p.m. 1. Executive Session'. Land Disposition The Committee entered into executive session for the purpose of discussion land disposition. u. r; ..n. a1•1 This item was eliminated from the Agenda. 3. Bids: a Portable Radios(Airport) Atlantic Communications ofBangw ($6,640) Dave Pellegrino explained that the FAA has required all airport vehicles to have radios in order to be in comtmmication with the tower. The recommendation is to award to Atlantic Communications, the low responsive bidder for a total of $6,640. Canceller Tyler commented that, historically speaking, City staff hasfsh that Mo[wolaradios were supedwmothere. Should there be concern that the Kenwood is of adequate quality or durability? Bob Ziegelaar replied that he also questioned this and fount this particularbmndtobe agood bran. Thereis local servicing where some other less responsive bidders did not have local serwang. Approved reconwendation. b. 4x4 Pickup Track, Cargo Van & Utility Vehicle (Auport) These are three budgeted itematoy the Import. The recommendation m to buy all the vehicles from Verney GMC, the law, bidder for the fust two and the low responsive bidder for the 4x4 utility vehicle. There was about $4,000 worth of equipment that was not included in the Calais Ford an Whited Ford bids. The prices look a little high because on the sport utility vehicle there is about $7,500 worth of light bars. mdmandthedecelarometerthetisneedn. Theahortfallof$9,265willbecoming out of the 8504 account, an equipment account, which has a balance of $12,000. Recommendation approved. C. Food &.Beverage Concesstou(Bangor Municipal Golf Course) Frank W. Jordan of Veave ($3,000 per year payment to the City) Dale Thenrult and Brian Bran talked with both of the individuals who submitted proposals. Dave believes that lama Vardamis was not intere aed in the hours that were proposed by Brian Frank Jordan rums the Legends Sports Bar and has been in the business for a long time. Recommendation Approved Ron Heller erplatued that the current insurer bas done an excellent job for the City. They have maintained that they would quote the same program the year that was paid Ian year and they have indicated a willingness to hold that premium for en additional year as well. Staff is asking to waive the bid process this year. Ed Barren explained that the most important element ofinauraoce is the service you receive, and it has been murkably better since Great American has taken it over. There was a lot of diffncWty with the previous insurance comparem Erik explained that m competing pan perfomance, when the canter was Dunlap, he can not recall a case where someone filed a claim and then later filed suit against the City because they were unhappy with the adjustment process. The same is true with Great American. CoRegis was etualy the opposite There were approximately a half a dozen cases filed against the City. Dave Pellegrino explained that this would be curving the bid process for a three year period. Councilor Tyler feels that the City should go shopping periodically Erik explamod that the City does not contract directly with the carrier so when you seen oat abid, you don't ger bids from Alliance, Great American, CoRegis, etc.; you get bids From agencies and then they place the insurance with the carrier. Agencies will shop mound and develop a premium figure based on quotes they get; then they'll place the insurance and there is very little control over where that goes. N this case, they switched beemsethe Citywas unhappy with CoRegis and CORegls was not happy with the City. Ed Banat recommends that it not be renewed for three years. Dave Leen asked Tpmt of the problem was not only with CoRegis but with the service that the City was receiving from Dunlap and how some of there cases was handled. Erik ended that in his experience, the City does not ger service from the agency, but From the carrier. Ron Heller felt there were some problems with Dunlap and their advocacy for the City with CoRegis. It was Ron's understanding that their level of service and then ability and willingness to accommodate the City has improved dramatically over the past year. Erik stated that his personal preference is, ifpossible, to place the insurance directly with the camas. Recommendation is to table this issue until definer discussion. This is an amendment that would allow the City to issue a single vicholers license for short un a events sponsored by non-profit or chartable organizations that have multiple vendors. It is primarily for events Re the World's Largest Garage Sale, so that instead of each individual vendor having to mitre in, it would be a group permit. Code Enforcement tends to be at events like this routinely throughout the event. Ties would make the papa and permitting process a little easier for those who participate in those events. Approved recommendation to Caused a, i.17lTS'd:S7 Mr. Husek resides at a property that the City has in an agreement with CMJ, Inc. at 18 Eigh[eanh Sunt He is working on getting refurram ng to pay CMI m full and pay the City the taxes the aro due, approximately$7,100. >n wonting m ger this refirencN, it was discovered that the City has Two additional judgments against him as an individual. Dan pertains to personal property taxes back in 1989 and one is for a land use violation, The total of these is about $2,800. Mr. Husek is concerned that the finsncing companies tum him down om the real estate refinancing iftheaejudgments are not cleared up. Mr. Hwek has made an offer of $. 10 on the dollar to clear these up. W. Husek explained that be has been innegofiations with sevual banks and most ofthem wont even consider it. Heisnowbying to nationals with out of own banks. Councilor Leen feels that except for the fact that Mr. Husek is attempting to buy the property, there has been no attempt at all to rectify the judgments wild the City. Councilor Baldacci feels it would he appropriate to get same idea ofwiust Mr. HuWs haonw and assets areto see what the financial situation is. Dave Little explained that one of the reasons That this was put on the agenda is because Mr. Husek indicated to Dave then there was a timing issue involved with the finance company, and he was hoping to gm screening resolved as soon as possible. Dave can try to obtain This murniailon and speak with the financing company to get abetter understanding of what they want to do. Councilor Lew suggests dad the City get back the original cost tithe judgment plus any money That the City expended and perhaps Mr. Husek can work out an agreement that would allow him To pay the City and allow him also to obtain Ids financing so he can go forward on it W. Husekfees that The bank would rather pay it and than they would have a clear That position on the property. Dave explained That staff would tell the financing company that the Committee's decision is that They need to pay The original judgment amomas and costs hmnned as], if they are willing to, they will increase his financing by that amount. Recommendation approved. Gail explained that this shelving is similar To what is at the Registry of Deeds and it is requested to protea the integrity of the vital records that are already restored. Dave Pellegrino explained then it is difficult to find a manufacturer of time type of roller shelves. The recommendation is to purchase from Brawn's River Bindery, the City's current restoration vendor. This purchase includes set-up and se -stocking by a representative from Brown's Riva Funding for this project would be provided by The records restoration monies inthe CityClenk'seurentbudga. StWff chwktos Yth is Thesamemanufaamaof tine shelves enlhe Registry. Hit is found that his a different supplier, steTwill find out their cost. Approved. 8. The City has, as pan of the plane's effort to assist in cleanup from the ice stony been offered a pod witensoanel by the S'tste Depatrnmt ofLaow through TDC. The City has requested 10 people for up m 16 weeks to work in Parks and Ree and then Public Works. Tbey will be paid $5.50 per how and will be City employees on a Temporary basis. This is filly reimbursable by the state, both with respect to salary and fiingm Ron Heller and Chubs Machell feel these is some risk involved with regard to workers' compensation. There will be ah"iring process, like with ary other apphcam. It will not differ significantly. The problem is that these me high workers' comp percentage premiumjobs at 16%. Ron and Charlie waned to touch base with the Comndnee for suggestions, monsoon, and whether or not the City should proceed. Conceder Lan asked why go Through TDC? Why not just go through an employment agency where they actually have to pay the workers' compensatlon coverage? They we able to do apre-determination on some of the applicants. Due to the law, the City is unable to ask These applicants if they have ever had a previous injury or workers' comp claim. Dave feels that the City could go through a regular employment agency to get the people to do this we& for the type of money that is being paid and even if it is $1 more an hour, the agency is paying the workers' wrap. Ron Heller agrees, but makes The point That the workers' wmp premium is included in who the Cry is reimbursed form TDC or the State. Rm thinks that gr mthe parallel efforts of both FEMA and the Department ofI.abor, if the City had the opportunity to use the TDC program and opted ort to go with it, but rather hue the Johanna born mother source, that FEMA would probably not reimburse the Cty for it Councilor Lem suggests that Ron find out this information from FEMA Councilor Lem also pointed out that TDC does have a program where they do Pay the workers' comp and woodorswhytheyareootdabghindusmsmnw? The Cosmnitteedirected the staff to find out if TDC will pay the workers' romp and, if not, will FEMA reimburse the City if they use an outside agency. The Committee will reconvene, if necessary, before Monday night's Council meeting in make a decision on this issue. Pat Blanchette wmmemed that Bangor has an Adopt -A -Park program and Shop N Save takes charge of Cascade Park and will be going to the park on Earth Day, the first of April, to clean up. Pat asked if Dale Theriault has contacted the other sponsors of the AdopM1A- Park program to see if they can get their volunteers out there from their work force to help clean this mess up. Ed Barrett will follow up on this. 9. Council Order Tyrecum C tv Staff fn Islet Ibc Necessary Sews to Insure that the City Fungor and Its Residents we Afforded the Lowest Possible Rates for Electricity and Natural SIDS This item appears a the request of Councilors Lem and Beldam, It would direct staff to take a look at demand aggregation as it applies to energy, deregulation. Under deregulation, ted large power users (netaral gas or electricity) are in a position to get a much borer rate for their energy purchases than smaller users would be. There me several levels at which aggregation can take place within a municipal context. Municipalities can work together either region lly or statewide, and Ed believes there will be an effort to aggregate statewide for munmpalioce which is something the City can take a lock at. V not, there are other mobmisms locally that can be used such a the Municipal Review Committee. The second area, which is a little more complicated, would be a municipality setting up its own power cooperative where its residents and businesses could eras into some kind of an arrangement toagpe uetbe'ude mdtotrytogdalo carate TLeaareacoupleofstateswhereutility deregulation is already in effect BdfedstWsismobviousplacetodosomeresemch. State law in Maine does allow far aggregation and Bic, according W this order, would be the designated person to represent the City to the PUC, an they go into rule-mdavg fur it The order relies a report back on July 13, 1999, refining feasibility costs, and alteratives an that we can sit dawn, review it, and see if this is something to be pursued on either the municipal level or the municipal and Wividual purchaser level. Councilor Baldami commented that the PUC has not developed the rules, the law provides for the aggregation. The felling is that hopefully municipalities wouldn't have to go through extensive brewing procedures. Beans¢ of the issue of electric rates and the cost of doing business, this fits in wdh an effort to make this region more economically competifive, which is going to be a benefit to everyone, including utility companies. The idea would be to help small businesses and homeowners as well as municipalities.